BRIYA ENTERPRISE LIMITED,AHMEDABAD V. THE ITO, WARD-1(1)(3), AHMEDABAD

ITA 2064/AHD/2024

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Briya Enterprise Ltd. appealed against the orders of the CIT(A) for the Assessment Years 2013-14 to 2018-19, which were found to be time-barred. The assessments were reopened under sections 147 and 148 of the Income Tax Act, 1961, due to incriminating material discovered during a search at the premises of Shri Sanjay Shah and Jignesh Shah, indicating that the assessee was a beneficiary of accommodation entries. The appeals were initially delayed due to issues with email notifications following a change in the company's name and email address, which led to non-participation in the appellate proceedings. The Tribunal, considering the circumstances and the interests of justice, decided to restore the matters to the CIT(A) for a decision on merits after condoning the delays.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 777153 (ITAT-AHMEDABAD)
• Duration Of Justice: 9 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-09-2025
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2015-2016
• Appeal Filed On: 06-12-2024
• Laws Referred To: Income Tax Act, 1961
• Court: TRIBUNAL
• Department Lawyers: RIGNESH DAS; SUDHAKAR VERMA
• Assessee Lawyers: M. K. PATEL
• Keywords: Condonation of delay; Accommodation entries
• Section: 132

Judgement Text

" आयकर अपीलीय अिधकरण, अहमदाबाद \u0011ायपीठ “सी“, अहमदाबाद । IN THE INCOME TAX APPELLATE TRIBUNAL “C” BENCH, AHMEDABAD \u0015ी संजय गग\u001a, \u0011ाियक सद\u001b एवं अ पूण\u001a गु!ा, लेखा सद\u001b क े सम%। ] ] Before Shri Sanjay Garg, Judicial Member And Annapurna Gupta, Accountant Member 1. आयकर अपील सं /ITA No.2062/Ahd/2024 – Asst.Year 2013-14 2. आयकर अपील सं /ITA No.2063/Ahd/2024 – Asst.Year 2014-15 3. आयकर अपील सं /ITA No.2064/Ahd/2024 – Asst.Year 2015-16 4. आयकर अपील सं /ITA No.2065/Ahd/2024 – Asst.Year 2016-17 5. आयकर अपील सं /ITA No.2066/Ahd/2024 – Asst.Year 2017-18 6. आयकर अपील सं /ITA No.2067/Ahd/2024 – Asst.Year 2018-19 Briya Enterprise Limited 9, 3rd Floor Harsiddh Complex Opp. Kalupur Commercial Bank Ashram Road Ahmedabad- 380 009 बनाम/ v/s. The ITO Ward-1(1)(3) Ahmedabad – 380 015 \u0012थायी लेखा सं./PAN: AABCA 7879 D (अपीलाथ(/ Appellant) ()* यथ(/ Respondent) Assessee by : Shri M.K. Patel, AR Revenue by : Shri Rignesh Das, CIT-DR & Shri Sudhakar Verma, Sr.DR सुनवाई की तारीख/Date of Hearing : 28/08/2025 घोषणा की तारीख /Date of Pronouncement: 18/09/2025 आदेश/O R D E R Per Sanjay Garg, Judicial Member: The captioned appeals have been preferred by the assessee against the separate orders of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [hereinafter referred to as ‘CIT(A)’] for Assessment Years (AYs) 2013-14 to 2018-19. Printed from counselvise.com ITA Nos.2062 to 2067/Ahd/2024 Briya Enterprise Ltd. vs. ITO Asst. Years : 2013-14 to 2018-19 2 2. In all these appeals, the assessment was reopened and carried out u/s.147 r.w.s.148 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”), on account of some incriminating material found during the course of search action u/s 132 of the Act at the residential premises of Shri Sanjay Shah and Jignesh Shah from which it was noticed that the assessee was a beneficiary of some accommodation entries. 3. The impugned orders of the Ld.CIT(A) in all the appeals are time-barred by 220 days, except ITA No.2067/Ahd/2024 which is time-barred by 36 days. Separate applications for condonation of delay along with affidavits of the Director of the assessee-company have been filed, wherein it has been stated that earlier the name of the assessee-company was Arihant Enterprise Limited. The name was changed with effect from 10/07/2015. The previous registered e-mail of the assessee with the Income Tax Authorities was [e-mail]. Apart from that, the e-mail of the Authorized Representative of the assessee was also given which was [e-mail]. The Ld. Counsel for the assessee has submitted that after the change of the name of the assessee from Arihant Enterprise Limited to Briya Enterprise Limited, the assessee-company has adopted a new e-mail, i.e. [e-mail]. The Ld. Counsel has submitted that the Ld.CIT(A), however, sent most of the notices to the old e-mail-IDs of the assessee. That the assessee has also changed his Authorized Representative (AR)/Chartered Accountant since 2019. That the e-mails sent at the e-mail ID of the earlier AR were not conveyed by him to the assessee. The Ld. Counsel further submitted that though some of the emails were sent by the Ld.CIT(A) at the correct address of the assessee, however, those have escaped Printed from counselvise.com ITA Nos.2062 to 2067/Ahd/2024 Briya Enterprise Ltd. vs. ITO Asst. Years : 2013-14 to 2018-19 3 the attention of the assessee resulting into non-participation in the appellate proceedings before the Ld.CIT(A). The Ld. Counsel has submitted that due to the aforesaid fact, the impugned orders of the Ld.CIT(A) did not come to the knowledge of the assessee resulting into delay in filing the present appeals before the Tribunal. That the fact of passing of the orders of the Ld. CIT(A) came to the knowledge of the assessee only on receipt of penalty notices from the AO. The Ld. Counsel has submitted that the assessee has a fair case on merits and that the assessee may be given an opportunity to present its case before the Ld.CIT(A). The Ld. Counsel has further submitted that there was a delay of 30 days in filing the appeal before the ld.CIT(A) for the similar reasons in respect of appeal of the assessee for AY 2018-19 in ITA No.2067/Ahd/2024. He, therefore, submitted that in the interests of justice, the short delay in filing the appeal before the ld.CIT(A) for AY 2018-19 may also be condoned. 4. The Ld.DR, however relied upon the findings of the ld.CIT(A). 5. Considering the rival submissions and in view of the aforesaid facts and circumstances, in our view, the interests of justice will be better served if the assessee is given an opportunity to present its appeals before the Ld.CIT(A). Accordingly, the delay in filing the appeals before the Tribunal is hereby condoned. The delay in filing the appeal before the Ld.CIT(A) in relation to AY 2018-19 is also hereby condoned. Therefore, all the matters are restored to the file of the Ld. CIT(A) with a direction to decide the same on merits in accordance with law, after giving due opportunity of hearing to the assessee. Needless to say that the assessee will promptly participate before Printed from counselvise.com ITA Nos.2062 to 2067/Ahd/2024 Briya Enterprise Ltd. vs. ITO Asst. Years : 2013-14 to 2018-19 4 the Ld.CIT(A) and will not contribute for any delay in disposal of these appeals by the Ld.CIT(A). 6. With the above observations, all the appeals of the assessee are treated as allowed for statistical purposes. Order pronounced in the Open Court on 18/09/2025. Sd/- Sd/- (Annapurna Gupta ) Accountant Member ( Sanjay Garg) Judicial Member अहमदाबाद/Ahmedabad, िदनांक/Dated 18/09/2025 टी.सी.नायर, व.िन.स./T.C. NAIR, Sr. PS आदेश की (ितिलिप अ)ेिषत/Copy of the Order forwarded to : 1. अपीलाथ* / The Appellant 2. (+थ* / The Respondent. 3. संबंिधत आयकर आयु- / Concerned CIT 4. आयकर आयु- ) अपील ( / The CIT(A)- (NFAC), Delhi 5. िवभागीय (ितिनिध , अिधकरण अपीलीय आयकर , अहमदाबाद/DR,ITAT, Ahmedabad. 6. गाड1 फाईल / Guard file. आदेशानुसार/ BY ORDER, स+ािपत (ित //True Copy// सहायक पंजीकार (Asstt. Registrar) आयकर अपीलीय अिधकरण, ITAT, Ahmedabad 1. Date of dictation (dictation pad is attached with file) : 17.9.2025 2. Date on which the typed draft is placed before the Dictating Member. : 18.9.2025 3. Date on which the approved draft comes to the Sr.P.S./P.S : 4. Date on which the fair order is placed before the Dictating Member for pronouncement. : 5. Date on which fair order placed before Other Member : 6. Date on which the fair order comes back to the Sr.P.S./P.S. : 19.9.25 7. Date on which the file goes to the Bench Clerk. : 19.9.25 8. Date on which the file goes to the Head Clerk. : 9. The date on which the file goes to the Assistant Registrar for signature on the order. : 10. Date of Despatch of the Order : Printed from counselvise.com "